Can I Apply for IRS Fresh Start Program Myself?
The IRS Fresh Start Program is a program designed to help individuals and businesses who are struggling with tax debt. It offers a variety of options to help taxpayers resolve their tax liabilities and get back on track financially. But the question on many people’s minds is: can I apply for the IRS Fresh Start Program myself? In this article, we will explore the process and answer this question in detail.
Understanding the IRS Fresh Start Program
The IRS Fresh Start Program was introduced in 2011 to provide relief to taxpayers who are facing financial hardship due to tax debt. The program offers several key benefits, including:
1. Offer in Compromise (OIC): This option allows taxpayers to settle their tax debt for less than the full amount owed. To qualify, you must demonstrate that you cannot pay the full amount and that the IRS would not benefit from collecting the full amount.
2. Installment Agreements: If you cannot pay your tax debt in full, you may be eligible for an installment agreement. This allows you to pay your debt over time, typically in monthly installments.
3. Partial Payment Installment Agreements: For taxpayers who cannot afford even a minimum monthly payment, the IRS may offer a partial payment installment agreement. This option allows you to pay as much as you can afford each month, without the threat of enforced collection actions.
4. Currently Not Collectible (CNC) Status: If you cannot pay your tax debt due to financial hardship, the IRS may place your account in CNC status. This means the IRS will not attempt to collect the debt until your financial situation improves.
Can I Apply for the IRS Fresh Start Program Myself?
Yes, you can apply for the IRS Fresh Start Program yourself. However, it is important to note that the process can be complex and time-consuming. Here are the steps you should follow:
1. Gather Required Documents: Before applying, you will need to gather all relevant documents, including tax returns, financial statements, and proof of income.
2. Complete the Application: The IRS offers several ways to apply for the Fresh Start Program. You can file Form 656, Offer in Compromise, or Form 9465, Installment Agreement Request, online or by mail.
3. Prepare a Financial Statement: If you are applying for an OIC or an installment agreement, you will need to complete a financial statement, Form 433-A (individual) or Form 433-B (business).
4. Submit Your Application: Once you have completed the necessary forms and gathered all required documents, submit your application to the IRS.
5. Follow Up: After submitting your application, the IRS will review it and may request additional information. It is important to respond promptly to any requests from the IRS to avoid delays in the processing of your application.
Seeking Professional Help
While you can apply for the IRS Fresh Start Program yourself, it may be beneficial to seek professional help. Tax professionals, such as enrolled agents, certified public accountants, and tax attorneys, can provide guidance and assistance throughout the process. They can help you determine the best option for your situation and ensure that your application is completed accurately and submitted on time.
In conclusion, yes, you can apply for the IRS Fresh Start Program yourself. However, it is important to understand the process and consider seeking professional help to ensure the best possible outcome. With the right approach, you can take advantage of the program’s benefits and work towards resolving your tax debt.
